I have invested in tax liens for 19 years. Both in Arizona, a lien theory state and in Utah, a deed state. I have seen several folks start "funds" and they do all the work, but yes, they usually take what I consider to be to big a piece of the pie. And with the competitive bidding picking up [not like the good ole days] margins are getting slimmer.

The advantage of a 'fund" spreading the risk out- BUTI have never lost any money on a tax lien...not saying it wouldn't/couldn't but what risk am I avoiding.The advantage of them doing the work well, I have no doubt you can find some one - even on ebay to do the work but the amount they take makes annuity sales folks look good!

A hedge fund with exposure may be an avenue but I would worry about what else they are in. Tax liens are definitely low risk - hedge fund probably not so. Then the money you want to put in a low risk instrument is really at risk. Defeats the purpose for the amount I have allocated to tax liens.

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